The NBA has achieved a significant milestone with the announcement of an updated national television deal that will bring an influx of revenue and new broadcasting partners. This new agreement, valued at a staggering $76 billion, is set to commence in the 2025-26 season and span 11 years, concluding at the end of the 2035-36 season.
The updated deal introduces fresh faces to the broadcasting lineup, including a new media company, a broadcasting company, and a premier streaming service. These additions aim to elevate the accessibility and reach of NBA games for fans across various platforms, ensuring that the NBA solidifies its presence in an ever-evolving media landscape.
Continuity and Change
Among the constants in the new deal are ABC and ESPN, which will continue their longstanding relationship with the NBA. Both networks will air the NBA Finals and will broadcast one of the two conference finals series in 10 out of the 11 years of the agreement. Additionally, ABC/ESPN will retain rights to televise Christmas Day games, marquee Saturday and Sunday regular-season matchups, and approximately 18 games in the first two rounds of the postseason each year.
Meanwhile, another broadcasting company will take on a significant role by covering one of the conference finals series in six of the 11 years. This network will provide comprehensive coverage of major events such as the All-Star Game, NBA All-Star Saturday night, opening night, and Sunday night primetime games. Furthermore, it, along with its streaming service, will broadcast around 28 games in the first two rounds of the playoffs annually.
Streaming Takes Center Stage
Prime Video joins the fold as a vital player in the new agreement. The streaming service will stream one of the conference finals series in six out of the 11 years, as well as NBA Cup games and Play-In Tournament games. Prime Video will also stream about one-third of the first and second postseason rounds each year, reflecting the NBA’s commitment to embracing the digital shift in sports media consumption.
Financial Implications
Under the current nine-year, $24 billion deal set to expire at the end of the 2024-25 season, national television revenue has been the largest contributor to the NBA's combined earnings. This new agreement, set to enhance the league's income by approximately 2.6 times, will significantly boost the NBA’s revenues. It is expected that the combined earnings of the 30 NBA teams, which were approximately $10.6 billion in 2023, will see a substantial increase. The surge in revenue is anticipated to drive notable rises in both franchise values and player salaries over the upcoming years.
This financial windfall comes with stipulations; notably, the salary cap cannot increase by more than 10% per year. Even so, the salary cap is projected to rise by the maximum each year starting in the 2025 offseason.
A Transition at Turner Sports
Notable by its absence in the new deal is Warner Bros. Discovery, marking a significant shift in the NBA's broadcasting landscape. Turner Sports, which began broadcasting NBA games in 1989, is expected to conclude its tenure with the upcoming season. This change also signals a likely end to the iconic "Inside the NBA" in its current format, which has become a staple for basketball fans over the decades.
The NBA, reflecting on its partnership with Turner Sports, stated, "We are grateful to Turner Sports for its award-winning coverage of the NBA and look forward to another season of the NBA on TNT."
Maximizing Reach and Accessibility
NBA Commissioner Adam Silver emphasized the league's strategic vision for its media partnerships: "Our new global media agreements with Disney, NBCUniversal, and Amazon will maximize the reach and accessibility of NBA games for fans in the United States and around the world. These partners will distribute our content across a wide range of platforms and help transform the fan experience over the next decade."
This statement encapsulates the league’s primary objective throughout the negotiations: enhancing the reach and availability of NBA games. "Throughout these negotiations, our primary objective has been to maximize the reach and accessibility of our games for our fans," the NBA stated.
This landmark deal is set to redefine the NBA's media presence, offering fans unprecedented access while solidifying the league’s financial foundation for years to come. The collaboration with new and traditional media partners reflects the NBA's forward-thinking approach and commitment to embracing the future of sports broadcasting.